Despite the recent economic slowdown, Taiwan’s food service sector has enjoyed strong growth.
THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY
USDA STAFF AND NOT NECESSARILY STATEMENTS OF OFFICIAL U.S. GOVERNMENT
Required Report - public distribution
GAIN Report Number: TW12018
Food Service - Hotel Restaurant Institutional
Food Service Sector Enjoys Strong Growth
Despite the recent economic slowdown, Taiwan’s food service sector has enjoyed strong growth,
expanding by nearly 13 percent to US$12.3 billion in 2011. The rise of Taiwan’s tourism market has
also played a critical role in creating new opportunities. As further confirmation of the sector’s success,
several food service companies filed for successful initial public offerings during the past year.
SECTION I. MARKET SUMMARY
A. Macro-economic Situation
Taiwan has a dynamic market economy that has continued to expand despite global economic
challenges. Although the economy slumped in 2008 and 2009, Taiwan saw a robust recovery in 2010
with GDP growing by 10.7 percent -- the highest growth rate in 28 years. Taiwan’s economy slowed in
2011 but still managed a respectable 4.04 percent expansion. The upward trend continued in the first
months of 2012 due to high returns on Central Bank investments, the appreciation of Euro-denominated
assets, and the appreciation of the U.S. dollar against other major currencies.
According to Central Bank Statistics, Taiwan’s foreign exchange reserves rose from US$348.2 billion in
December 2009 to US$385.55 billion in December 2011. Taiwan's reserves further increased to
US$389.3 billion as of May 2012, making Taiwan the world's fourth-largest foreign exchange holder.
Overall, Taiwan is the United States' tenth largest trading partner and fifth largest export market in Asia.
Key Economic and Social Indicators 2009 2010 2011
GDP (Billion US$) 377.4 430.1 466.9
GDP (US$ / per capita) 16,359 18,588 20,139
PPP: US$ (International Monetary Fund est.) 31,840 35,595 37,720
Average Disposable Income (US$ / per Household) 26,857 28,106 N/A
Food & Beverage Total Spending (%) 22.39 22.09 N/A
Average Annual Exchange Rate (1US$= NT$) 32.03 30.37 30.29
Consumer Price Index -0.87 0.96 1.42
Unemployment Rate (%) 5.85 5.21 4.39
Economic Growth Rate (%) -1.81 10.72 4.04
Total Agri-Food Imports (billion US$) 10.0 12.8 14.8
Total Agri-Food Exports (billion US$) 3.3 3.6 4.0
Agri-Food Imports as a Share of Total Imports (%) 5.8 5.1 5.3
Source: Taiwan Director-General of Budget, Accounting, and Statistics (DGBAS);
Council of Agriculture (COA)
B. Agricultural Trade
Although Taiwan is an economic powerhouse, domestic agricultural production is somewhat limited.
As a result, Taiwan is increasingly reliant on imports of food and other agricultural products. The
United States has long been the major supplier of Taiwan's agri-food imports, followed by emerging
South American supplier Brazil, Australia, Thailand and New Zealand. In 2011, Taiwan imported
nearly US$4 billion dollars of food and agricultural products (including edible fishery products) from
the United States, accounting for about 30% of Taiwan's total agri-food imports. Of the U.S. total, over
US$2 billion was comprised of bulk commodities, including corn, soybeans and wheat. Other major
food imports include meat and poultry products, dairy, fresh fruits, alcohol and beverage.
Taiwan Food and Agricultural Product Imports
Calendar Year: 2011
Source: Global Trade Atlas (excludes fishery products)
C. Taiwan Food Service Sector Overview and Trends
"People in Taiwan love to eat out! Eating out is also very much a part of the food culture in Taiwan."
That statement was included in the 40th Fiscal Term Interim Business Report of popular fast-food chain
MOS Burger, but most Taiwan consumers and foodservice managers and investors would agree.
According to Taiwan’s Ministry of Economic Affairs (MOEA), the economic output of Taiwan’s food
service sector, excluding institutional food service, is estimated at US$12.3 billion in 2011, a 12.8
percent increase from the previous year. Stronger overall economic performance has helped drive up
food service sector revenue, which is expected to continue to grow over the next decade. This increase
can also be attributed to other several factors, including the rise in consumer income, smaller family
size, increasing numbers of working women and the development of tourism.
Source: Taiwan Ministry of Economic Affairs (MOEA)
* Note: On a U.S. dollar basis, 2009 market value declined largely due to the high U.S. vs. Taiwan
currency exchange rate that year. On a New Taiwan dollar basis, however, the 2009 market value
remained at the 2008 level despite the economic downturn.
Employment History of Married Women Aged 15-64
Year Had a job before marriage Have a job currently
1990 72.2 46.9
2000 82.1 49.7
2003 80.8 50.5
2006 84.4 52.5
2010 83.8 54.5
Source: Taiwan Director-General of Budget, Accounting, and Statistics (DGBAS)
Taiwan consumers enjoy a very diverse food environment. In addition to traditional Chinese food
cuisines, Japanese BBQ (Yakiniku), hot pot (shabu shabu), Thai foods, western fast foods and several
other ethnic varieties are seen all around the country. As food trends change swiftly, however, many of
these cuisines do not stay popular for long, and only a few types of cuisines gradually become fully
integrated into local food culture.
Street food and snacks are also signature features of Taiwan's food culture. Night markets with
hundreds of food options are common island-wide. Food stands in the night markets use a wide variety
of food ingredients -- imported and locally produced. For example, French fries produced in the U.S.
and Canadian Pacific Northwest are offered side by side with locally produced sweet potato (yam) fries
in the deep-fried food stands (yan su ji).
Discounted gift certificate and coupons sold online (such as Groupon and Gomaji) also helped boost
restaurant exposure and sales over the past few years. In a recent survey (November 2011) conducted
by EOLembrain (Taiwan), 65 percent of consumers responded that they have heard of (78 percent) and
purchased (65 percent) products on Groupon. Many small-operation restaurants have become popular
overnight due to their products' wide exposure on these websites.
Another EOLembrain's consumer survey (2010) showed that around 25 percent of online shoppers
purchased food products online. Online shopping continues to soar and is likely to create more
opportunities and sales for the food industry, including hotel and restaurants, as online shopping
websites' customer service continues to improve with greater efficiency, which has generated strong
Taiwan Restaurant Sector Statistics
Number of Outlets Total Revenue (US$)
Total 94,708 8,265,371
Restaurants 68,462 6,810,648
2008 Beverage stores 13,406 932,833
Food Vendors 11,839 332,938
Others 1,001 188,952
Total 98,932 7,869,567
Restaurants 72,050 6,411,640
2009 Beverage stores 13,864 904,847
Food Vendors 11,661 307,091
Others 1,357 245,989
Total 102,129 9,176,645
Restaurants 75,077 7,549,918
2010 Beverage stores 14,087 963,864
Food Vendors 11,429 319,247
Others 1,536 343,616
2011* Total 105,964 9,982,076
Restaurants 78,822 8,262,503
Beverage stores 14,328 1,003,171
Food Vendors 11,106 329,954
Others 1,708 376,544
Source: Taiwan Ministry of Finance; *ATO Taipei estimate.
** Note: On a U.S. dollar basis, 2009 market value declined largely due to the high U.S. vs. Taiwan
currency exchange rate that year. On a New Taiwan dollar basis, however, the 2009 market value
remained at the 2008 level despite the economic downturn.
It was not until the end of last century that Taiwan’s food service companies began to venture beyond
the Taiwan border. Investment liberalization in China was the most crucial factor in encouraging
Taiwan's hospitality industry to test the water in China. In recent years, following their success in the
China market, several Taiwan food service operations expanded their territories to Southeast Asia or
even Europe and North America. As market entry restrictions and other challenges decline relative to
many high-tech product sectors, the globalization of Taiwan’s foodservice may expand further.
E. Tourism on the rise
Together with Taiwan’s high-tech sectors, tourism is regarded as one of the star industries by the
Taiwanese government in terms of creating jobs and earning foreign exchange. The government has
spent billions of dollars on the improvement of transportation between major cities and famous tourist
spots, as well as other programs to maximize convenience for travelers, making travel within the island
easier for both domestic and foreign tourists.
The Government’s tourism policy is the savior of the foodservice sector to counter the population
decline. As part of Taiwan government’s National Development Plan, the Ministry of Transportation
and Communications (MOTC) launched the ―Double Tourist Arrivals Plan‖ in 2002. The goal was to
double the number of international tourist arrivals, which would deliver obvious benefits in creating
jobs and earning foreign exchange.
According to statistics released by the MOTC, the number of foreign arrivals to Taiwan increased
significantly from 2004 to 2011, more than doubling to over 6 million, including 3.6 million tourists.
Cross-Strait air passenger traffic also surged by 23% to 7.16 million persons compared to 2010,
reflecting larger numbers of tourists from China and increasing travel by Taiwan businessmen investing
in the mainland. The explosive growth of direct charter flights across the strait generated major profits
for Taiwan's airline companies and air-catering businesses, which had seen sluggish sales for several
years due to the completion of Taiwan's high speed rail connecting the major cities on the island.
MOTC statistics also show that in 2008 spending by foreign tourists exceeded the total tourism
expenditures of domestic tourists. A Taiwan Tourism Bureau survey indicated that food and beverage
costs accounted for 11% of foreign tourists' (non-business visitors) total expenditures in Taiwan,
generating over US$1 billion in income for the local food service industry.
Source: Ministry of Transportation and Communications, ROC
F. Advantages and Challenges for U.S. Exporters
Taiwan consumers maintain a generally U.S. exporters face low price competitors in areas
positive perception of and consume many such as juice and vegetables.
U.S. food and agricultural products.
Consumers are strongly attracted by novelty High market fragmentation makes it hard for U.S.
and fashion in food products and services. exporters to achieve scale and scope advantages in
terms of volume.
Taiwan is highly dependent on agricultural Taiwan is the United State's 6th largest market for
imports from the United States, particularly agricultural exports, but is often overlooked by U.S.
grain and oilseed products. suppliers eager to export directly to mainland
Taiwan importers are familiar with and trust U.S. exporters are sometimes reluctant to change
U.S. grading systems, e.g. beef grading product specifications to comply with Taiwan
standards. requirements and market demand factors.
Taiwan consumers are brand-conscious and Many U.S. companies are unwilling to provide low
America is a leader in food brands that set volume, consolidated shipments of high-value
trends. products to food service companies.
Taiwan’s population is highly educated, well- Geographically, the U.S. is much farther from
traveled and extremely aware of global Taiwan than many major competitors, and the lack
foodservice brands. of direct air links by major American airlines
reduces the profile of Taiwan to U.S. exporters.
The popularity of American holidays and Taiwan’s emerging ―green‖ tendencies have a
culture/lifestyle lead to promotional events potential to favor domestic foods by discouraging
organized around these themes by Taiwan the consumption of imported foods and reducing the
restaurants and hotels throughout the year. ―carbon footprint‖ associated with imported
A wide variety of U.S. chains or American- Taiwan’s birth rate is among the lowest in the
themed restaurants in Taiwan provide world, and population growth is expected to become
opportunities to sample ―authentic‖ negative in coming years.
American cuisine and beverages.
Taiwan enjoys higher purchasing power and Taiwan consumers maintain a preference for ―fresh‖
a growing tourism sector. food products over ―frozen.‖
Increasing growth of fast food chains and
casual dining restaurants is key to sector
SECTION II. ROAD MAP FOR MARKET ENTRY
A. Entry Strategy
Due to the limited size of their operations, the majority of Taiwan’s HRI companies do not import
directly. Rather, they tend to place small but more frequent orders with local suppliers that are able to
meet such needs. Consequently, U.S. companies should concentrate on establishing business
relationships with reliable and efficient importers and distributors, who in turn, sell to HRI end users.
Price is still the primary concern for most HRI buyers while quality and packaging come into play if the
price is agreeable. Very few HRI businesses operate on exclusive contracts with suppliers. As a result,
most chain and independent restaurants change suppliers frequently, particularly if there is a price
Small to medium size exporters should work with the appropriate U.S. State Regional Trade Group
(SRTG) to take advantage of the SRTG’s resources for marketing and promotion support in major
export markets. The four SRTGs are non-profit trade development organizations that help U.S. food
producers, processors and exporters sell their products overseas. They are jointly funded by USDA's
Foreign Agricultural Service (FAS), the individual state departments of agriculture and private
industry. The SRTGs provide export assistance to companies located in their geographic region through
a variety of export programs and integrated marketing services. To learn more services available from
the SRTGs, find the SRTG for your geographic region in the list below and visit the website.
Western U.S. Agricultural Trade Association (WUSATA)
Southern U.S. Trade Association (SUSTA)
Food Export-Midwest (previously named MIATCO) (Food Export)
Food Export-Northeast (Previously named Food Export USA) (Food Export)
B. Market Structure
The majority of HRI companies in Taiwan purchase most of their food products from importers,
distributors, wholesalers, regional wholesale markets, wet markets, and supermarkets/hypermarkets,
depending on the type of food item. Imported fresh items such as produce, fish/seafood and beef, are
usually purchased and delivered directly from importers or through distributors or wholesalers.
Institutional users buy more products from local distributors or import directly. A recent trend is that
retail outlets such as Costco are frequented by many small food service/HRI operators to buy items in
quantity at the lowest possible cost, thereby avoiding the hassle of trying to source small volumes via
traditional import channels.
Food and beverage managers and executive chefs at international hotels are the key persons who decide
which items are purchased. The purchasing department procures various food ingredients based on the
list that F&B section provides. Hotels, especially those that employ foreign chefs or offer authentic
foreign cuisines, and other high-end family style restaurants typically use more imported items from
importers or wholesalers/distributors.
Western and local fast food restaurant chains usually have their own distribution centers or they contract
with an independent distribution center to purchase, partly process and deliver the daily needs to each
outlet island-wide. Fast food chains also maintain their own R&D team or work closely with one or
more contracted regional catering service(s) to develop and frequently renew menus to meet consumers’
Medium-level family style chain restaurants generally maintain a centralized purchasing department and
a centralized kitchen as well. The centralized kitchen prepares meals and delivers the foods to all
outlets of the restaurant chain.
Other smaller-scale drinking and eating establishments purchase the majority of their daily needs from
wholesalers, regional wholesale markets or wet markets.
Taiwan HRI Distribution Channel Flow Diagram
Taiwan HRI Trade
C. Sub-Sector Profiles
1. Hotels and Resorts
Socializing in hotel restaurants has been a popular practice in Taiwan. As a result, hotel restaurants
have become an important dollar earner for Taiwan’s international hotels, accounting for nearly 46
percent of total operating income (Source: Taiwan Tourism Bureau 2011 data). In 2011, in terms of F
& B income generated by hotel restaurants, the ―Grand Formosa Regent Hotel Taipei‖ topped the list
with US$47.6 million, closely followed by the ―Sheraton Taipei‖ (US$45.1 million), the ―Grand Hyatt
Taipei‖ (US$32.8 million), and the ―Ambassador Hotel Taipei‖ (US$29.6 million).
Taiwanese people often entertain their business counterparts, friends and relatives in restaurants,
especially on special occasions such as weddings/engagements, birthdays, Mother’s Day, ―Honorary
Banquets in Praise of Teachers‖ and Lunar year-end parties hosted by company management. Food
served at these occasions tends to be either Western-style buffets or Chinese-style food banquets. In
addition, holiday celebrations are becoming more and more commercialized, especially western
holidays such as Christmas, Thanksgiving, Independence Day (American Week Food Promotions) and
Valentine's Day. Taiwan’s hotel restaurants use these occasions to aggressively promote set menus,
offering excellent opportunities to promote American foods and beverages. U.S. companies with
products used principally in the HRI sector should consider how to take advantage of these promotional
opportunities by developing recipes, special menus or merchandise to help draw in the different group.
In addition to the general food service business, hotels in Taiwan have also focused in recent years on
specific gift food packages for various festivals, such as moon cake gift packs for the Moon Festival,
chocolate gift packs for Valentines’ Day and turkey hampers for Thanksgiving. The development of
domestic courier services is also credited for the rapid growth of the gift-pack market.
Resorts in Taiwan, classified by areas of focus, fall primarily into the categories of hot spring towns,
scenic areas, cultural sites and amusements parks. With the completion of the freeway system
connecting metropolitan Taipei and Taiwan’s east coast, many real estate developers have built or are
building high end resorts in major hot spring towns and scenic spots in this area. As of February 2012,
eleven resorts and spas with nearly 3,000 rooms were under construction in east coast cities. Most of the
resorts manage the food venues themselves and purchase primarily through importers and distributors.
New Resorts Under Construction on the East Coast of Taiwan
Name Number of Estimated Date of Estimated Capital Rooms Completion (US$Mil)
Spring Park Jiaoshi Villa
R 84 8/31/2014 37 esort
Shangrila Resort 146 8/31/2013 43
Ocean International Tourist
Hote 99 12/31/2013 27 l
Sheraton Yilan Resort 193 12/31/2015 59
Papago Resort 402 12/31/2016 40
Naruwan Beach Hotel 272 12/31/2016 79
Grand Green Island Resort 809 12/30/2016 165
Castle Hotel 146 12/31/2015 37
Green Garden Hotel and
218 12/31/2014 33
Huang family hotel 172 12/01/2014 12
Hua Lien Hotel 260 12/29/2017 36
Source: Taiwan Tourism Bureau
Major 4- & 5-star Hotels, Resorts, and Spas in Taiwan
F & B
Hote Sales Numb Purchasil/Resor We Locatiobsite 2011 er of ng
t Name n
(US$Mi Rooms Agent(s)
The Regent Importers
Ta http://www.grandformosa.com.tw 47.6 569 Taipei ipei Distributo
Ta tp://www.sheraton-taipei.com 45.1 692 Taipei Distributoipei Hote htl
Grand Hyatt Importers
Ta http://taipei.grand.hyatt.com 32.8 865 Taipei ipei Distributo
Amba Importers ssador http://www.ambassadorhotel.com.tw 29.6 432 Taipei
Far Eastern Importers
Plaza Hotel http://www.feph.com.tw 27.0 420 Taipei Distributo
The Importers Westin
Ta http://www.westin.com.tw 24.0 288 Taipei Distributoipei
L Importers e Meridien
Taipei Hote http://www.lemeridien-taipei.com/ 23.0 160 Taipei Distributol
The Importers Grand
Hote http://www.grand-hotel.org 21.0 402 Taipei Distributol
How Importers ard
tp://www.howard-hotels.com.tw 18.2 606 Taipei Distributo
Plaza Hote htl
W Taipei http://www.wtaipei.com/zh 16.3 405 Taipei Distributo
Sherwood http://www.sherwood.com.tw 11.3 343 Taipei
Hote Distributol Taipei
Palais De Importers
C http://www.palaisdechinehotel.com/zhine Hotel 0.9 286 Taipei Distributo
Hote Importers l Royal
Ta http://www.royal-taipei.com.tw 7.5 202 Taipei Distributoipei
The Importers Landis http://taipei.landishotelsresorts.com/c
Ta 6.9 209 Taipei Distributoipei Hotel hinese-trad/
Hote www.imperialhotel.com.tw 5.9 288 Taipei Distributol Taipe http://i
The Importers Fullon
Hote otels.com.tw 5.0 120 Taipei Distributol Taipe http://www.fullon-hi
R Importers adium-
Ka http://www.kagaya.com.tw 4.1 90 Taipei Distributogaya
Da Importers nshuei http://fishermen-wharf.fullon-
3.1 198 Taipei Distributo
W rs harf
C http://yangmingshan.landishotelsresohina .9 50 Taipei Distributo
Hotel Eclat http://www.eclathotels.com/ n/a 60 Taipei Distributo
Bellevue http://www.fulongbellevue.com.tw n/a 54 Taipei Distributo
Spring Park Importers
Urai Spa & http://www.springparkhotel.com.tw/ n/a 23 Taipei Distributo
Amba Importers ssador
Hote http://www.ambassadorhotel.com.tw 12.0 257 Hsinchu Distributol
Hsinc rs hu
Hsinchu http://www.sheraton-hsinchu.com/ 12.0 386 Hsinchu Distributo
Hote Importers l Royal
Hsinc http://www.royal-hsinchu.com.tw 4.4 208 Hsinchu Distributohu
Evergreen Taichun Direct
L els.com 10.1 354 aurel Hotel http://www.evergreen-hot g Importers
http://www.splendor- Ta Importers ichun
Splendor .5 222 Distributo
Prince Hotel http://www.howa Ta
rd-hotels.com.tw 5.6 155 Distributo
Ta g ichung rs
Hote Importers l One
n/a 202 Distributo
W Importers indsor un
n.com n/a 149 Distributo
Landis http://www.tayihlandis.com.tw 10.9 315 Tainan Distributo
http://www.shangri-la.com.tw 9.4 336 Tainan Distributo
Ta rs inan
Grand Hi- Ka Importers ohsiu
L 40 Distributoai Hot http://www.grand-hilai.com.tw 26.9 5el ng
The Ka Importers ohsiu
Splendor, http://www.thesplendor-khh.com/ 14.8 592 Distributo
Ka ng ohsiung rs
Ka Kaohsiu Importers ohsiung http://www.cp-edaworld.com 13.1 656
E-DA ng Distributo
W rs orld
Ambassador iu Importers
.ambassadorhotel.com.tw 12.7 453
l ng Distributo
Grand Hotel Ka Importers ohsiu
Ka http://www.grand-hotel.org 12.1 107 Distributoohsiung ng
Plaza Hotel http://www.howard-hotels.com.tw Kaohsiu 7.8 328 Distributo
Ka ng ohsiung rs
Fullon Hotel Ka Importers ohsiu
Ka http://www.fullon-hotels.com.tw 0.8 250 Distributoohsiung ng
Hote Importers l Royal
C l.com.tw/ 7.3 198 Yi-Lan Distributohiao-Hsi http://www.hrjhote
Silks Place Importers
Yilan http://www.silksplace-yilan.com.tw 7.0 193 Yi-lan Distributo
Eve Direct rgreen
R http://www.evergreen- Importers esort Hotel 6.8 231 Yi-lan
Ta Direct ipei
Ta Importers oyuan http://www.novoteltaipeiairport.com 4.7 361 Taoyuan Distributo
Airpo rs rt
The Lalu Importers
Sun Moon http://www.thelalu.com.tw 3.9 96 Nanto Distributo
C http://www.fleurdechinehotel.com 6.8 211 Nanto Distributohine Hotel
Caesar Park Importers
Hotel http://www.caesarpark.com.tw 4.9 254 Pingtung Distributo
B Importers each
R http://kenting.howard-hotels.com.tw 4.5 418 Pingtung Distributoesort
Ke rs nting
Hotel & http://www.naruwan-hotel.com.tw 3.3 276 Taitung Distributo
Hotel Royal Importers
C http://www.hotel-royal-hihpen 183 Taitung Distributo
Hotel, http://www.farglory-hotel.com.tw 5.4 381 Hualian Distributo
Hote http://www.parkview-hotel.com 5.4 343 Hualian Distributol
C http://www.chinatrust-hotel.com 4.1 221 Hualian hateau de Distributo
Chine Hotel rs
Silks Place Importers
Hotel, http://www.silksplace-taroko.com.tw 2.1 160 Hualian Distributo
d Resort & http://www.plcresort.com.tw n/a 240 Hualian Distributo
Source: ATO Survey; Taiwan Tourism Bureau, Ministry of Transportation & Communications
The restaurant sub-sector dominates the local food service market in Taiwan with 82.3% of the market
(2010). Based on Taiwan Ministry of Finance data, the total revenue for the restaurant sub-sector was
estimated at nearly US$8 billion in 2010, while beverage stores generated US$1 billion revenue for a
10.5% market share, and snack and street vendors sector gained US$0.3 billion with a 3.5% share.
Family Style/Casual Dining Restaurants
The majority of restaurants in Taiwan are casual dining places. As most of the restaurants in this
category are small businesses, they purchase materials mainly from wholesalers and wet market. Only
larger chains/franchises tend to buy products from importers or import directly.
There are over 10,000 breakfast shops in Taiwan. Most of them provide western foods such as
hamburger, sandwich, milk tea and coffee. These breakfast chains and franchises are more like
miniatures of western fast food restaurants, but they sell foods at lower prices and with more variety. As
they provide fast service and cheaper foods, they are the first choice for the majority of consumers
buying breakfast on a limited budget. In recent years, the breakfast shops have faced strong competition
from Taiwan's over 9,000 24-hour conveniences stores, most of which feature healthier and fresher food
Western-style Fast Food
McDonald's, which opened its first outlet in 1984, remains the largest fast food chain in Taiwan with
361 stores island-wide. Competition among fast-food restaurants is becoming more intense since Japan-
based MOS Burger started its more aggressive expansion in foreign markets. Among MOS burger's 265
outlets outside of Japan, as of September 2011, 202 outlets were in Taiwan. MOS Burger's Taiwan
franchisee, An Shin Food Services Inc., announced that the company’s goal is to open as many as 250
outlets in Taiwan by the end of 2013 and 350 outlets within the next 3-5 years. Facing growing
competition, McDonald’s also announced plans to increase the franchising ratio to 30 percent as it
increases the number of outlets to 500, while Kentucky Fried Chicken aims to open 30-50 new
restaurants by 2014.
New products, such as coffee latte, bagels and rice burgers, were introduced into the Taiwan market,
leading to even greater diversity in consumer choices and expectations. In addition, promotions offered
by fast food establishments, including price-off, giveaways, and volume discounts, are increasingly
Chinese-style Fast Food
As the entry barrier for Chinese-style fast food chains and franchisers is low, they have sprung up all
over Taiwan in the past decade. They have gained popularity with all ages of consumers, specializing in
dumplings, meat ball and sour-spicy soups, beef noodles and Chinese stews. Greater competition among
these fast food chains, combined with new competition from convenience store that are expanding into
prepared meal service, have led to increased pressure on margins in this segment.
Low labor costs and the fact that many chains have the ability to provide standardized products, have
made the outlet numbers of these chains grow faster than Western fast food restaurants in recent years,
which was contrary to industry experts’ expectations. Though the expansion of Chinese-style fast food
restaurants has slowed, they are still the major competitors for Western-style fast food chains.
Department Store Food Courts & Restaurants
Typically, major department stores in Taiwan have several sit-down restaurants, as well as a full or at
least part of a floor devoted to a food court. Revenues from restaurants and food courts represent
around 30% of the total department store revenue. Shin Kong Mitsukoshi, Far Eastern Department
Store, and Sogo Department Store (also managed by Far Eastern) are the major players.
Coffee Shop Chains
Coffee consumption in Taiwan has seen rapid growth in recent years. The market size is currently
estimated at over US$1 billion. Coffee import volume, including raw and roasted coffee, tripled in the
past decade, increasing from 6,844 metric tons (MT) in 2001 to 17,685 MT in 2011.
Current annual per capita coffee consumption in Taiwan is 100-120 cups according to industry
estimates. The market is still relatively underdeveloped compared to consumption in western countries
(300-400 cups) or even in the neighboring countries such as Japan and Korea (150-200 cups), so there is
room for further expansion.
Competition in the Taiwan coffee market segment intensified after chain convenience stores entered the
game by offering freshly-brewed coffee. Younger generations, especially white-collar workers, are the
major consumers of freshly brewed coffee. Drinking coffee in a coffee shop symbolizes fashion, taste,
and a stylish lifestyle, and it has become a social stimulant for conversation, logging onto a social web,
or business meetings. Hence, more and more younger people are seen drinking coffee in a variety of
Most coffee shops also provide sandwiches, salads, cakes and pastries prepared by catering companies
or other food processors. Some domestic and Japanese style coffee shops also offer freshly made
sandwiches and hot meals, which are shipped frozen from their food processors for reheating at the
outlets. Many coffee chains import coffee beans directly but purchase other food materials from
importers, wholesalers, and distributors. The significant growth of the coffee shope segment in recent
years in Taiwan has created a niche market for imported candy/chocolate and cookie products. Many
coffee shops, such as Starbucks, Dante, 85°C Coffee, Is Coffee and Barista, not only sell coffee and
light meals, but also sell candy/chocolate/cookie products with small and attractive packaging.
Latte (espresso with steamed milk) and Americano (adding water to espresso) are the most popular
orders in coffee shops. The growing demand for cafe latte has also stimulated demand for milk (fresh or
Taiwan Coffee Import Statistics (Raw and Roasted)
Year 2006 - 2011
R Partner/ ank C Unit 2010/2011 ountry 2006 2007 2008 2009 2010 2011 % Δ
World T 10,772 13,872 11,600 13,395 17,887 17,685 -1.13
1 Indonesia T 4,009 5,285 2,803 5,189 5,694 5,092 - 10.58
2 Brazil T 1,304 2,319 1,720 2,183 3,265 3,654 11.89
3 Guatemala T 826 1,412 1,646 690 1,918 1,638 - 14.59
4 Vietnam T 1,308 1,580 1,186 1,076 1,760 1,644 - 6.60
5 T 535 687 824 875 1,024 1,265 23.51
6 Colombia T 701 525 683 641 739 1,020 38.02
7 Honduras T 376 309 375 497 532 363 - 31.73
Source: Global Trade Atlas
Soft Drink Bars
Soft drink bars are seen on every corner of Taiwan's streets. This type of soft drink shop developed
rapidly after "bubble tea" gained popularity in the 1980s. "Pearl Milk Tea", which contains small chewy
balls made of tapioca starch, is the signature drink and the most popular order in many of the soft drink
In addition to Pearl Milk Tea, there are many other variants of soft drinks. Most of them are tea-or fruit-
based ice-blended and smoothie versions. Syrups, pulp, black and green tea, instant coffee, concentrated
fruit juice, creamer, and milk, which are purchased mostly from importers and distributors, are the basic
materials used in these shops.
Most of the bars only provide to-go service, and the shops might be as small as 100 square feet. Soft
drink stands are often seen in the night markets or near schools.
Major Restaurant Company Profiles
Sales Outlet Name, type,
C Purchasing ompany Name ($Mil) / Number of Outlet Location Agents
2011 (Taiwan only)
Noble Family Co., n/a Noble Family Steakhouse, National Direct
Ltd (steakhouse) (135) Importers
Bullfight Group Bullfight (steakhouse,
iwa n/a n Inc. family style) (19) Importers
Wang Steak (steakhouse) Na Direct tional
Ta Direct sty (family style) (33) National
Tokiya (family style) (28) Na Direct tional
Yuanshao (Japanese ect
Gig Direct uo (Hot Pot) (24) National
W Ikki (Japanese family owPrime Corp. 213.6 Na Direct tional
style) (6) Importers
Chamonix (Teppenyaki) Na Direct tional
Pintian Farm (family Na Direct tional
style) (16) Importers
12 Sabu (hot pot) (18) Na Dirtional
Su Food (organic/healthy Na Direct tional
food) (8) Importers
Famonn Coffee (coffee Taipei (1st store Importers
shop) (2) opened in 2011) Distributors
Skylark (family style) Nor Importers th/Central
Skylark Co. n/a
Gr Importers azie (Italian) (18) Distributors
Shin Yeh (Taiwanese /
Shin Yeh Co., Ltd. n/a Ta
family style) (13) Distributors
Ding Ding Tai Feng (Chinese) Importers Tai Fung n/a North/Central
T.G. T.G.I. Friday's (American I. Friday's n/a National Importers
style) (17) Distributors
Swensen's (American National
Ruth's Chris (steakhouse) National
Hasmore Ltd. Co. n/a Macaroni Grill (American Ta Importers ipei
style) (1) Distributors
Chili's (American style) National
Trader Vic's Taipei
Pâtisserie Sadaharu Aoki Taipei
Paris (bakery/cafe) (2)
R Importers oyal Host (western/family style) National
onald's (fast food)
estaurants n/a National Importers
(Taiwan) Co., Ltd. Distributors
B Direct urger King (fast food) National Importers
Gr (41) eat Wall Distributors
Ente n/a rprise Co., Ltd. Saboten Japanese Direct
Restaurant (Japanese National Importers
family style) (16) Distributors
Kentucy Fried Chicken National Importers
Jardin Food n/a (fast food) (129) Distributors
C Direct o., Ltd.
n/a Pizza Hut (Pizza) (159) National Importers
An-Shin Food MOS Direct Burger (fast food)
131.5 National Importers
Service Co., Ltd. (219) Distributors
Eight Way Food 8 Way Dumplings
C n/a a
o., Ltd. (Chinese N/fast food) (450) Distributors
L Oversea Dragon (Chinese ong Mao Co., Ltd. Na Importers tional
n/a /fast food) (190) Distributors
Mer Direct curies Food Chain National Importers
Mer (Chinese/fast food) (151) curies & Distributors
Assoc n/a iates, Ltd. Na Direct poli Pizza (fast National Importers
food/pizza) (89) Distributors
Pizzavest Co., Ltd. Dominos Direct Pizza (pizza)
n/a National Importers
(Regent Group) (140) Distributors
Sushi Express Importers
(Japanese/Sushi) (150) Distributors
Sushi Take-out (Japanese
n/a Nor Importers th
Sushi Express CO., /Sushi) (25) Distributors
Ltd. Dingshi 8 (family style)
n/a Nor Importers th
Sushi Express Hot Pot
n/a Nor Importers th/Central
(family style/hot pot) (7) Distributors
Yoshino Yoshinoya (Japanese beef ya n/a National Importers
rice/fast food) (53) Distributors
W Direct ang Zhang Fa Gaibom (Chinese) (112) National Importers
Industry Ltd. n/a Distributors
Ji-Shang Industry porters
C n/a Wu Tao (Chinese) (232) Na
o., Ltd. Distributors
Mo Mo P Direct aradise National Importers
HuMa Distributors x Taiwan Co,
L n/a td. B rs ellini Pasta Pasta (5) Nor Importeth Distributors
Be Importers llini Caffe (Italian) (1) North Distributors
Hw YaYan Yakiniku Direct a Da Industry
C n/a Restaurant (Japanese) National Importers o., Ltd.
Top of Form Importers
Tonka n/a Tonkatsu (Japanese) (32) National tsu Co., Ltd. Distributors
Cashcity C Direct ashcity Shabu Shabu
Foodservice Co., n/a National Importers
L (Japanese) (138) td. Distributors
Shuh Sen Co., L Mytd. n/a National Importers
(Steakhouse) (59) Distributors
Tha Direct i Town Cuisine (Thai National Importers
Food) (25) Distributors
TTFB Direct Company
L 22.6 Very Thai (Thai Food) (5) North/South Importers imited Distributors
1010 Shang (Chinese) (6) National Importers
Subwa Direct y Taiwan
De (118) National Importers velopment n/a Subway (Western) Distributors
Source: ATO Survey
b. Breakfast shop chains and franchises
Sales Outlet Name, type,
Company Name ($Mil) / Number of Outlet L Purchasing ocation Agents
2011 (Taiwan only)
Hong Direct Ya International
Ente n/a Hong Ya Burger (800) National Importers rprise Co. Ltd. Distributors
Sun Spark Group n/a Laya Burger (604) National Importers
Super-Mill Group Co. Ltd n/a My Warm Day (1509) National Importers
Ju-Lin Food Enterprise
C n/a Ju-Lin Mei-Er-Mei (999) National Importers o., Ltd. Distributors
Good Mor Direct ning Beauty Good Morning Beauty
Castle Enterprise Co., Ltd. n/a tional Importers C Naastle (1,000) Distributors
C Direct hiao Pei International
C n/a Eastern Beauty (950) National Importers o., Ltd. Distributors
Mei & Direct Mei Foodservice
C n/a Mei & Mei (2,915) National Importers hain Group Distributors
Source: ATO Survey
c. Coffee, Beverage & Dessert (non-bakery) Shops
Sales Outlet Name, type,
Company Name ($Mil) / Number of Outlet L Purchasing ocation Agents
2011 (Taiwan only)
Gourmet Maste Direct r Co., 263.8
L 85°C (coffee) (337) National Importers td. (2010) Distributors
Starbucks Coffee n/a National Importers
C (260) ompany Distributors
Da Direct nte Coffee and
te (coffee) (127) National Importers
Foods Co., L n/a Dantd. Distributors
ECoffee Co., Ltd. n/a ecoffee (coffee) (119) National Importers
Mr. Brow Direct n Coffee Mr. Brown Coffee
n/a North Importers
Shop (coffee) (58) Distributors
Ding Direct -hao Acme Co.,
L n/a IS (coffee) (21) North/Central Importers td. Distributors
Kohikan Corpor ate Kohikan (coffee) (17) North/Central Importers
B Barista Coffee (coffee) arista n/a National Importers
Ikari Coffee Co., Ltd. n/a Ikari (coffee) (71) North/Central/East Importers
R Direct ose Republic Rose House (tea and
International Co., Ltd. n/a National coffee) (24) Distributors
Te - Direct nRen Group (Te Cha For Tea (Tea) (76-n
R Tea Restaurant:11; Tea National Importers en Co. n/a, Ltd.) Bar: 65) Distributors
Te Direct a Professional Intl Tea Professional (Tea
C n/a hian Group B National Importers ar) (176) Distributors
C Direct huan Yi Tung Ching Shin Fu Chuan
B National Importers usiness Co. L n/a td. (Tea Bar) (1,070) Distributors
Chatime Co., LTD. ChaTime (Tea Bar) n/a National Importers
COMEBUY Direct COMEBUY (Tea Bar)
Interma n/a Ntional Co.,Ltd (95) Distributors
Lien Fa International Direct
Sharetea (Tea Bar)
Foodservice n/a National Importers
Enterprise Co., L (189) td. Distributors
Ding Tea Co., L Ding Tea (Tea Bar) td. National Importers
n/a (118) Distributors
Presotea (Tea Bar)
Presotea Co., Ltd. n/a National Importers
Source: ATO Survey; company websites; Taiwan Chain and Franchise Annual Report
According to the Ministry of Finance's data, Taiwan’s institutional sector accounted for only 3.8 percent
of total food service sector revenue in 2011. With air traffic between Taiwan and mainland China
increasing significantly, the air catering sector's future is promising. School, hospital, and military
catering is stable but might face more challenges in the future due to decreasing student numbers
resulting from low birth rates and Taiwan's policy of drawing down its military force.
Total Student Enrollment Statistics in Taiwan
Source: Department of Education, ROC
Currently, Evergreen Sky Catering Corporation, China Pacific Catering Service, and TransAsia Airway
Corporation dominate the local air catering market. Given strong competition within this sector, these
companies are aggressively expanding their catering business to include convenience stores, restaurants,
coffee shops, schools, and hospitals. These airline flight kitchens purchase food ingredients from local
importers, manufacturers and wholesalers, but these companies also import directly. The industry is
widely expected to record continued growth over the next few years.
There are 2,659 elementary and 742 junior high schools, both public and private, in Taiwan. According
to the Ministry of Education, all kindergartens, elementary and junior high schools in Taiwan operate
lunch meal programs. Over 90 percent of students eat meals provided by school kitchens or school
lunch program contractors, which means that over 2.27 million students in Taiwan eat at school. The
budget for a meal is about NT$45 (approximately US$1.5) per child. In terms of animal proteins, due
mainly to cost concerns, beef is not used as much as pork and chicken. Leafy vegetables and fresh fruits
are preferred. Given the small budget allocated for school meals, the use of U.S. products in this sector
is limited, including frozen chicken and pork, fresh fruits and root vegetables.
As of 2011, there were 513 hospitals (including branches) registered in Taiwan with over one hundred
thousand beds. Major hospitals are located in big cities in the west coast like Taipei, Kaohsiung, and
Taichung. Most of the major hospitals have restaurants for visitors and separate restaurants or cafeterias
for employees and patients. Restaurants for visitors are normally operated by contractors, while meals
for employees and patients are typically planned by dietitians and prepared by hospital kitchens. Some
small-scale hospitals outsource their food service business to catering companies. Since most hospitals
run on a tight budget for food, U.S.-sourced food products are rarely specified. However, some niche
opportunities exist, with pureed foods for dietary needs of the elderly, frozen items like sheet cakes for
labor saving dessert items, and fresh low-cost fruits for patients.
Taiwan has had mandatory military service for all males since 1949. Currently, the total number of
soldiers in Taiwan is around 275,000 with males between the ages of 20-35 subject to 12-month
mandatory military service. The Ministry of Defense plans to decrease the number of soldier to 215,500
by 2013. The number of soldiers will continue to decline after 2014 when Taiwan starts to recruit for an
all-volunteer professional force.
Each military base or unit manages most of its food purchases on a daily basis and buys fresh products
from wholesalers or wet markets. They are usually required to support locally produced products except
when local products are in short supply.
SECTION III. COMPETITION
In 2011, Taiwan imported nearly US$11.35 billion of food and agricultural products (not including
seafood) from many different sources, of which US$3.87 billion (34%) was imported from the United
States. The United States was the number one agricultural supplier to Taiwan, followed by Brazil,
Australia and Thailand. Brazil is the United State's largest competitor in terms of soybean and corn.
Australia was the largest supplier of beef while Thailand was Taiwan's largest supplier for starches and
sugar/sucrose products. New Zealand ranked as the top supplier of dairy products, mutton and kiwi.
While maintaining its position as a substantial supplier of imported bulk commodities such as corn
(63.8%), soybeans (55.8%), and wheat (79%), the United States also supplied 89% of imported poultry
products, 96% of almonds and 94% of walnuts.
The United States is also the top supplier of imported vegetable and fresh fruits: apples (38% or US$54
million), cherries (56% or US$45 million), fresh and processed potato products (78% or US$40million),
peaches (80% or US$30million) and fresh and dried grapes (56% or US$23million).
Taiwan Agricultural Products Import Statistics
Product Total Major Strengths of Key Advantages and
Category Import Supply Supply Countries Disadvantages of Local
Value Sources and Suppliers
Total Food and 11,352.7 1. USA – South American Taiwan's food self-
Agricultural 34.0% countries have become sufficiency rate is low at
Imports 2. Brazil - major suppliers of bulk 31.7% (2010, COA data)
9.6% commodities, wine, and relies heavily on
3. Australia - dairy products, and imports to meet
7.8% fresh fruits. domestic demand.
4. Thailand -
5. N. Zealand
6. China –
7. Malaysia -
8. Japan -
9. Indonesia -
10. Vietnam -
Total Fish and 729.6 1. China - China supplies shrimp, Taiwan produces more
Seafood 15% mollusk, and cuttlefish. seafood products than it
Products 2. Norway - Norway is the major needs and only imports
Imports 10% supplier of salmon and those products not
3. Vietnam - trout. U.S. is a major available in the region.
8.4% supplier of fresh and
4. Thailand - chilled/frozen lobsters.
5. USA –
Corn 1,385.3 1. USA - USA is the leading Taiwan relies heavily on
63.8% supplier of corn, but corn imports.
2. Brazil - Brazil has been an
24.1% aggressive supplier
3. S. Africa - since 2009.
4. Argentina -
5. India -
Soybean 1,310.3 1. USA - USA is the leading Taiwan relies heavily on
55.8% soybean supplier, but soybean imports to meet
2. Brazil – Brazil has been more both feed and food
41.0% aggressive in recent needs.
3. Paraguay - years.
Wheat 587.8 1. USA – USA is the major Taiwan has no
79.0% supplier of wheat, significant wheat
2. Australia - followed by Australia. production.
Meat & Poultry
Beef 546,482 1. Australia - Australia dominates Taiwan's beef
38.7% market for cheaper production only
2. USA - beef cuts while the accounts for 5% of total
35.4% USA is traditionally beef consumed on the
3. N. Zealand the largest chilled beef island.
- 20.6% supplier.
Pork 103,580 1. Canada - Imports have occurred Local pork dominates
41.6% only in response to the market.
2. USA - occasional short
29.5% supplies and high local
3. Denmark - pork prices.
5. Hungary -
Poultry 143,342 1. USA - Taiwan consumer's Local chicken dominates
88.9% preference for dark the market.
2. Canada - meat provides
10.9% opportunities for
USA products are
Fish & Seafood
Fish fillets and 79,502 1. India - Taiwan imports frozen Taiwan produces more
meat, including 33.0% fish fillets (esp. cod seafood products than it
surimi 2. China - and pollack) and surimi needs and only imports
19.0% for further processing. those not available in the
3. Vietnam - region.
4. USA -
Rock Lobsters 14,807 1. USA - USA and Australia are Lobsters are not often
and Other Sea 34.3% the key suppliers of seen along Taiwan's
Crawfish, 2. Australia - frozen lobsters. coastlines.
3. Cuba -
Lobsters, 4,921 1. Canada - Canada and USA are Lobsters are not often
Fresh/Chilled 59.2% the key suppliers of seen along Taiwan's
2. USA - fresh and chilled coastlines.
Oysters 4,962 1. S. Korea - Most imported oysters Local oyster products
52.4% are sold to buffet meet most of Taiwan's
2. USA - restaurants. demands.
3. France -
Cheese 109,999 1. N. Zealand Southern hemisphere Local production is
- 29.2% countries dominate the limited.
2. USA - imported cheese
21.1% market, but USA is
3. Australia – becoming more
4. Argentina -
Whey 15,904 1. USA - USA is the leading Local production is
44.4% supplier of whey limited.
2. France - products.
3. Poland -
4. N. Zealand
Butter 66,085 1. N. Zealand New Zealand leads Local production is
- 61.6% with butter and several limited.
2. Australia - other dairy products.
10.2% France supplies high-
3. France - end products.
4. Argentina -
5. USA -
Apples, Fresh 145,128 1. USA - USA leads with several Taiwan is a significant
37.6% fresh fruits that have producer of fresh
2. Chile - limited local tropical fruits, and local
27.1% production, including fruit production is very
3. Japan - apples. high quality. Taiwan
18.9% only imports fruits
4. N Zealand Chilean and New typically not produced
- 12.5% Zealand apples gain locally.
Cherries, Fresh 81,126 1. USA - USA provides high There is no local
56.3% quality products. production.
2. Chile -
22.3% Southern hemisphere
3. Canada - countries gain seasonal
4. N. Zealand
Peaches, Fresh 37,914 1. USA- USA products are in Local products meet
80.2% good quality and price about half of local
2. Chile - competitive. demand.
Table Grape, 23,975 1. USA - USA supply good Local farmers produce
Fresh 47.6% quality fresh table different grape varieties
2. Chile - grape. - typically sweeter.
3. South Chile and South Africa
Africa - 7.7% supply price
Plum, Fresh 9,660 1. USA - USA is the leading Local products are
75.7% supplier of plums. different varieties.
2. Chile -
Oranges, Fresh 5,159 1. USA - USA is the dominant Local products are
85.5% supplier of imported different varieties.
2. South fresh oranges.
Africa - 6.9%
3. Australia -
Broccoli and 9,460 1. USA - USA is the major Local products dominate
cauliflower, 94.4% supplier of imported the market.
fresh 2. Vietnam - broccoli.
Onions and 10,082 1. USA - USA is the major Local production fulfills
shallots, fresh 79.79% supplier of imported around 60% of local
2. Vietnam - onions. demand.
3. Spain -
Lettuce, fresh 4,489 1. USA - USA supplies good Local products are
98.5% quality products with different varieties and
competitive prices. generally of lower
Potatoes, fresh 3,612 1. USA - USA is the major Local products dominate
93.9% supplier of imported the market.
2. Australia - potato products,
6.1% providing good quality
Alcohol and Other Beverages
Wine 123,913 1. France - France dominates the Local companies are not
55.9% market, but new world able to produce good
2. USA - countries are gaining quality wine.
8.7% traction due to
3. Chile - competitive pricing.
7.5% U.S. is the fifth largest
4. Australia - supplier by volume.
5. Italy -
6. Spain -
Beer 151,858 1. The Netherlands and Local beer brands are
Netherlands - China are aggressive most popular.
65.9% suppliers with many
2. China - promotions in
14.5% restaurants and bars.
3. USA -
4. Japan -
Mixtures of 2,320 1. USA - USA is the major Local products dominate
fruit and/or 61.3% supplier of imported the market.
vegetable 2. S. Africa - fruit and vegetable
juices 18.7% juice.
Orange Juice 10,144 1. Israel - Israel and Brazil Local oranges are of
34.0% supply high quality different species. Orange
2. Brazil - concentrated orange juice derived from
32.6% juice. locally produced oranges
3. USA - is popular and usually
20.2% sold in wet markets or
4. by street vendors.
Grape Juice 11,255 1. Spain - Spain and Italy There is little local
52.8% dominate the market production available.
2. Italy - and supply price
24.2% competitive products.
3. USA -
Coffee, 26,368 1. USA - USA supplies over half There is little local
roasted, not 55.8% of roasted coffee while production available.
decaf 2. Italy - Indonesia, Brazil and
13.8% other tropical countries
3. Malaysia - supply most of the
6.8% non-roasted coffee
Mixes and 18,401 1. USA - USA dominates the Taiwan imports most of
Dough 49.6% mixes and dough its bakery ingredients.
2. Thailand - market.
3. Japan -
4. Italy -
Korea - 5.5%
Sauces and 71,205 1. Japan - Taiwan consumers Local products dominate
Preps 56.1% tend to prefer the the market.
2. USA - flavors of Japanese
13.0% sauces and condiments.
3. China -
4. Hong Kong
Almonds, 25,136 1. USA - USA is the dominant There is no local
shelled 96.4% supplier of tree nuts. production available.
2. China -
Walnuts, 17,273 1. USA - USA is the dominant There is no local
shelled 93.6% supplier of tree nuts. production on a
2. China - commercial level.
Source: ATO survey; Council of Agriculture; Global Trade Atlas
SECTION IV. BEST PRODUCT PROSPECTS
Category A: Products Present in the Market That Have Good Sales Potential
Product 2011 2011 5-Yr. Import Key Constraints Market
Category Market Imports Avg. Tariff Over Market Attractiveness
size (US$Mil) Annual Rate Development for USA
Beef and 138,177 $546 14.35% Beef: Lack of import U.S. industry is
beef MT NT$10 MRL for able to supply
variety (carcass per ractopamine has large volumes of
meat weight kilogram stymied imports ―Asian cuts‖ at
equiv.) of U.S. beef. prices
Beef Primary competitive with
variety competitors are New Zealand and
meat: New Zealand / Australia.
15% Australia with Quality of U.S.
perceived chilled beef is
acceptable recognized by
quality at lower consumers.
Cheese n/a $110 18.88% 5% New Zealand U.S. market share
(29%) and is increasing,
Australia (21%) reflecting
dominate the growing
market. Use in acceptance of
home cooking U.S. cheese.
not yet popular.
Fish and $2,239 $730 22.7% NT$5.36 With a bias in Most U.S.
Seafood to favor of fresh product
Products NT$225 fish and consumed in
per kg; or Southeast Asia- restaurants rather
9% to variety than purchased
50% crustaceans, U.S. for home use.
exporters will HRI venues with
need to work strong Western
hard to gain orientation and
market share. up-market
Fresh n/a $399 n/a Varies by There is growing Effective
Fruit type competition from marketing
new suppliers / programs
domestic and reliable quality,
especially pricing, and
premium fruit recognized brands
from Japan and have improved
Korea. market share for
Pork 922,688 $104 57.6% 12.5 to Consumption is High quality U.S.
MT 40% relatively stable pork has gained
(carcass and local acceptance in
weight producers supply restaurants.
equiv.) over 90% of There are good
market. Greater opportunities for
imports occur pork for
only in response processing.
and high local
MRL issue has
market for U.S.
Poultry n/a $143 n/a 20% Import quotas on U.S. enjoys 89%
Meat poultry meat import market
were eliminated share and is one
in 2005, but of only six
special safe countries certified
guard (SSG) to export poultry
raises the tariff meat to Taiwan.
to about 26%.
Tree Nuts n/a $92 n/a Varies Cashews from U.S. dominates
by Asia have shifted market for
type some market almonds, pecans,
share from U.S. and walnuts.
tree nuts. Almonds and
Competition to pecans have great
U.S. pistachios potential growth,
comes from but baking
Middle East and industry needs to
Australia. learn how to use
Whey n/a $16 7.3% 4 to 5% U.S. currently U.S. whey
leading supplier benefits from
of whey. competitive
into food service
food channels by
and the U.S.
Wine n/a $124 13% 10% to French wine still Currently, the
20% plus dominates the United States is
a NT$7 red wine market. Taiwan’s second
per 1% Knowledge largest wine
alcohol about wines is supplier in terms
content generally low of value. Despite
per liter throughout wine the front-runner
distribution position of
channels. Wines French wines,
from new world U.S. wines
countries such as continue to gain
Chile and consumer
Australia are recognition and
getting more acceptance.
to low costs.
Source: Taiwan Bureau of Foreign Trade: Taiwan Council of Agriculture
SECTION V. POST CONTACT AND FURTHER INFORMATION
Contact Information for FAS Offices in Taiwan and in the United States
For Trade Policy/Market Access and General Agricultural Issues:
American Institute In Taiwan, AIT, Taipei
Office Hours: 8 :00 AM – 5:00 PM
Telephone: ( 011-866-2) 2162-2316
Fax: ( 011-886-2) 2162-2238
Email-FAS: a firstname.lastname@example.org
Pouch - Diplomatic Physical Location
Agriculture Section American Institute in Taiwan
Departmen t of State (AGR) No. 7, Lane 134, Xinyi Rd., Sec 3
4170 AIT Taipei Place Taipei, 10659 Taiwan
Washington, DC 20189-4170
Foreign Service Personnel Locally-Employed Staff
Jeffrey Hesse (Chief) Rosemary Kao (Ag Specialist)
Chris Frederick (Deputy Chief) Chiou Mey Perng (Ag Specialist)
Angela Hu * (Admin Assistant)
For Market Promotion Assistance:
Agricultural Trade Office - Taipei, ATO, Taipei
Office Hours: 8:00 AM – 5:00 PM
Telephone: (011-886-2) 2162-2000 x2316
Tel-Direct Line: (011-886-2) 2705-6536
Fax: (011-886-2) 2706-4885
Pouch - Diplomatic Physical Location
Agricultural Trade Office ATO / American Institute in Taiwan
Department of State (ATO) Suite 704 Lotus Mansion
4170 AIT Taipei Place 7th fl No. 136 Renai Road Sec. 3
Washington DC 20189-4170 Taipei Taiwan
Foreign Service Personnel Locally-Employed Staff
Hoa V. Huynh(Director) Cleo W. Y. Fu (Ag Mktg Specialist)
Amy Hsueh (Ag Mktg Specialist)
Katherine Lee (Ag Mktg Specialist)
Angelique Su (Admin Assistant)
The Agricultural Trade office works with a large number of U.S. industry organizations, several of
which are resident or have local representatives in Taiwan. These cooperators share the view that
Taiwan is a promising market for agri-food products.
USDA Producer Associations - Taiwan Representatives (and PR Firms)
COOPERAT L CONTA PHON ADDRE
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Nor Steven 508 th-West
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Wood 24 46 Trade
(8862) (8862) Chang E.
ASA Anthony - IM n/a Tha 256029 256838 R
27 69 Sec.1,
U.S. Grains C (8862) (8862) lover E. Rd., t;
C n/a 250754 250248ouncil Chang Sec.2, email@example.com.
01 51 Taipei, net
U.S. Wheat R (8862) (8862) onald an N.
Assoc n/a 252111 252115iates Lu R firstname.lastname@example.org d.,
State of Erick Center
Ala n/a ska, U.S.A Kish 878622 878622 email@example.com 7C-01,
27 21 Taipei
Other Relevant Reports
Reports on the Taiwan food and agricultural market are available on the FAS website. The search
engine can be found at: http://gain.fas.usda.gov/Lists/Advanced%20Search/AllItems.aspx
| Taiwan Foodservice — Behind the Scenes_Issue 3 | Food Service - Hotel Restaurant
Institutional, Livestock and Products, Promotion Opportunities | Taipei ATO | Taiwan |
"Taiwan Foodservice—Behind the Scenes" is a publication that focuses on trends in Taiwan's
foodservice industry. The newsletter features information related to Taiwan's foodservice sector and
interviews with key local players so that you, our readers, can obtain more objective view of the
potential market for U.S. food products in Taiwan.
Taiwan Foodservice — Behind the Scenes_Issue 3_Taipei ATO_Taiwan_4-20-2012
| Taiwan Baking Industry 2012 | Product Brief | Taipei ATO | Taiwan | 4/3/2012
In 2011, the Taiwan baking sector was valued at an estimated US$900 million based on the market